Insurance and Water Damage

Most people who purchase homeowner’s insurance policies may feel comfortable that they have been covered against almost every conceivable catastrophe that might overtake their home. Unfortunately, that may not be the case. Homeowner’s insurance policies come with certain standard exclusions. You may not be unhappy to hear that earthquakes are not covered, because most of the country is not in danger of earthquakes. You might feel differently when you learn that flooding and water damage are not covered either.

If you live in an area that is considered to be a flood zone then you may have had to purchase flood insurance, which is very expensive. If you do not live in a flood zone then you can purchase a rider to your insurance policy that will cover water damage to your house that occurs as a result of burst pipes or sewer backups. If you have not specifically added one of these to your insurance policy then it is likely that you are completely unprotected financially from damage to your home from water.

This could be an especial problem for you if you live in a house with a basement. Because basements are underground they are particularly susceptible to leaks from water that seeps in through windows or walls or through a damaged foundation. Foundation problems are also not covered by homeowner’s insurance. Even the water damage rider you can have added does not cover this type of flooding, but only that which comes out of your own pipes. If you want more protection than that then you need to purchase flood insurance.

Flood insurance protection for your property can be very costly, but so is flood damage. Even if you do not live in a flood zone you should consider carefully what the chances are that you might have to deal with water coming into your home. If your basement is finished then you particularly have a lot to lose. If ever once you experience flooding of that sort then you will probably decide that it is in your best interest to pay the extra premium and have the protection that goes with it.